Bill Text: IA SSB1178 | 2019-2020 | 88th General Assembly | Introduced
Bill Title: A bill for an act modifying provisions relating to the certification of real estate appraisers and making penalties applicable.
Spectrum: Committee Bill
Status: (N/A - Dead) 2019-02-21 - Subcommittee Meeting: 02/28/2019 2:00PM Senate Lobbyist Lounge. [SSB1178 Detail]
Download: Iowa-2019-SSB1178-Introduced.html
Senate
Study
Bill
1178
-
Introduced
SENATE/HOUSE
FILE
_____
BY
(PROPOSED
DEPARTMENT
OF
COMMERCE/BANKING
DIVISION
BILL)
A
BILL
FOR
An
Act
modifying
provisions
relating
to
the
certification
of
1
real
estate
appraisers
and
making
penalties
applicable.
2
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
3
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Section
1.
Section
543D.2,
Code
2019,
is
amended
by
adding
1
the
following
new
subsection:
2
NEW
SUBSECTION
.
05.
“Appraisal
review”
means
developing
3
and
communicating
an
opinion
under
the
uniform
standards
of
4
professional
appraisal
practice
review
standards
regarding
the
5
quality
of
another
appraiser’s
work
product
prepared
as
part
6
of
an
appraisal
assignment.
An
“appraisal
review”
does
not
7
include
quality
control
solely
to
assure
an
appraisal
report
is
8
complete,
or
to
correct
grammatical,
typographical,
or
other
9
similar
errors.
10
Sec.
2.
Section
543D.2,
subsection
9,
Code
2019,
is
amended
11
to
read
as
follows:
12
9.
“Review
appraiser”
means
a
person
who
is
responsible
13
for
the
administrative
approval
of
the
appraised
value
of
14
real
property
or
assures
that
appraisal
reports
conform
to
15
the
requirements
of
law
and
policy,
or
that
the
value
of
16
real
property
estimated
by
appraisers
represents
adequate
17
security,
fair
market
value,
or
other
defined
value
conducting
18
an
appraisal
review
.
A
“review
appraiser”
does
not
include
19
a
person
who
performs
quality
control
solely
to
assure
an
20
appraisal
report
is
complete,
or
to
correct
grammatical,
21
typographical,
or
other
similar
errors.
22
Sec.
3.
Section
543D.15,
subsection
1,
Code
2019,
is
amended
23
to
read
as
follows:
24
1.
a.
The
title
or
term
“certified
real
estate
appraiser”
,
25
“associate
real
estate
appraiser”
,
or
any
other
like
title
or
26
term
shall
only
be
used
to
refer
to
individuals
who
hold
the
27
certificate
or
registration,
as
applicable,
and
shall
not
be
28
used
in
connection
with
or
as
part
of
the
name
or
signature
29
of
a
firm,
partnership,
corporation,
or
group,
or
in
a
manner
30
that
it
may
be
interpreted
as
referring
to
a
firm,
partnership,
31
corporation,
group,
other
business
entity,
or
anyone
other
than
32
an
individual
holder
of
the
certificate
or
registration
.
33
b.
The
title
or
term
“certified
real
estate
appraiser”
,
34
“
associate
real
estate
appraiser”
,
or
any
other
like
title
or
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term,
including
a
title
or
term
that
suggests
an
individual
is
1
licensed
or
certified
under
the
laws
of
another
state,
shall
2
only
be
used
to
refer
to
individuals
who
hold
a
certificate
3
or
registration
under
this
chapter,
as
applicable,
or
who
are
4
exercising
a
valid
practice
privilege
pursuant
to
section
5
543D.24,
in
connection
with
any
appraisal
assignment,
other
6
than
an
appraisal
review,
performed
on
real
estate
located
in
7
Iowa.
8
Sec.
4.
Section
543D.21,
subsection
4,
Code
2019,
is
amended
9
by
adding
the
following
new
paragraph:
10
NEW
PARAGRAPH
.
0d.
A
violation
of
section
543D.24.
11
Sec.
5.
NEW
SECTION
.
543D.24
Practice
privilege.
12
1.
A
person
whose
principal
place
of
business
is
not
in
this
13
state
shall
be
authorized
to
perform
an
appraisal
assignment
on
14
real
estate
located
in
Iowa
without
certification
under
this
15
chapter
or
notice
to
the
board,
under
the
following
conditions:
16
a.
The
person
must
hold
a
valid,
unexpired
license
or
17
certificate
in
good
standing
in
the
state
of
the
person’s
18
principal
place
of
business
that
is
substantially
equivalent
19
to
a
comparable
certificate
issued
in
Iowa,
as
provided
by
20
rules
adopted
by
the
board,
and
the
person
must
be
licensed
or
21
certified
to
lawfully
perform
in
the
person’s
principal
place
22
of
business
all
appraisal
services
offered
or
rendered
under
23
a
practice
privilege
in
Iowa.
24
b.
The
person
must
not
hold
a
lapsed
Iowa
certificate;
25
have
been
subject
to
discipline
or
denial
of
licensure
26
or
certification
in
Iowa
or
any
other
jurisdiction;
have
27
previously
surrendered
an
Iowa
certificate
or
have
otherwise
28
held
an
Iowa
certificate
that
is
no
longer
valid,
active,
or
29
in
good
standing;
or
have
been
convicted
of
a
crime
which
is
30
substantially
related
to
the
qualifications,
functions,
and
31
duties
of
a
person
performing
appraisal
assignments.
32
c.
The
person
shall
comply
with
this
chapter
and
board
33
rules,
including
any
uniform
appraisal
standards
adopted
by
the
34
board.
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d.
The
person
shall
not
use
the
title
or
term
“Iowa
1
certified
real
estate
appraiser”
or
any
other
like
title
or
2
term,
which
shall
only
be
used
to
refer
to
individuals
who
hold
3
the
certificate
under
this
chapter.
The
person
may,
however,
4
use
the
title
or
term
“certified
real
estate
appraiser”
or
5
any
other
like
title
or
term,
to
the
extent
that
the
person
6
also
identifies
the
state
of
the
person’s
principal
place
of
7
business
in
connection
with
the
use
of
such
title
or
term.
8
e.
The
person,
upon
a
client’s
or
prospective
client’s
9
request,
shall
provide
accurate
information
on
the
state
or
10
states
of
licensure
or
certification,
principal
place
of
11
business,
contact
information,
and
manner
in
which
licensure
or
12
certification
status
can
be
verified.
13
2.
As
a
condition
of
exercising
the
practice
privilege
14
authorized
by
this
section,
a
person
shall
do
all
of
the
15
following:
16
a.
Consent
to
the
personal
and
subject
matter
jurisdiction
17
and
regulatory
authority
of
the
board,
including
but
not
18
limited
to
the
board’s
jurisdiction
to
revoke
the
practice
19
privilege
or
otherwise
take
action
for
any
violation
of
20
this
chapter
or
board
rules,
including
any
uniform
appraisal
21
standards
adopted
by
the
board.
22
b.
Appoint
the
regulatory
body
of
the
state
that
issued
the
23
certificate
or
license
as
the
agent
upon
whom
process
may
be
24
served
in
any
action
or
proceeding
by
the
board
against
the
25
person.
26
c.
Agree
to
supply
the
board,
upon
the
board’s
request
and
27
without
subpoena,
such
information
or
records
as
licensees
are
28
similarly
required
to
provide
the
board
under
this
chapter
29
regarding
themselves,
including
but
not
limited
to
licensure
30
or
certification
status
in
all
jurisdictions,
criminal
and
31
disciplinary
background,
malpractice
settlements
and
judgments,
32
and
timely
response
to
inquiries
regarding
complaints
and
33
investigations
conducted
under
this
chapter.
34
3.
The
practice
privilege
authorized
by
this
section
is
35
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temporary
and
shall
cease
if
the
license
or
certificate
in
the
1
person’s
principal
place
of
business
expires,
is
no
longer
2
valid
or
in
good
standing,
or
otherwise
no
longer
lawfully
3
supports
the
conditions
of
the
practice
privilege
described
in
4
this
section.
5
4.
The
board
may
revoke
a
practice
privilege,
impose
a
civil
6
penalty,
issue
an
order
to
secure
compliance
with
this
chapter
7
or
board
rules,
including
any
uniform
appraisal
standards
8
adopted
by
the
board,
or
take
such
additional
actions
as
are
9
provided
in
this
chapter
if
a
person
acting
or
purporting
to
10
act
under
a
practice
privilege
violates
this
chapter
or
board
11
rules.
In
addition,
or
as
an
alternative
to
such
action,
the
12
board
may
refer
a
complaint
to
any
state
regulatory
body
that
13
has
issued
a
license
or
certificate
to
the
person.
14
5.
A
violation
of
this
chapter
or
board
rules,
including
15
any
uniform
appraisal
standards
adopted
by
the
board,
by
a
16
person
acting
or
purporting
to
act
under
a
practice
privilege
17
is
a
ground
to
deny
the
violator’s
subsequent
application
for
18
certification
under
this
chapter.
19
EXPLANATION
20
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
21
the
explanation’s
substance
by
the
members
of
the
general
assembly.
22
This
bill
modifies
provisions
in
Code
chapter
543D
relating
23
to
the
certification
of
real
estate
appraisers
by
the
real
24
estate
appraiser
examining
board.
25
The
bill
defines
“appraisal
review”
to
mean
developing
26
and
communicating
an
opinion
under
the
uniform
standards
of
27
professional
appraisal
practice
review
standards
regarding
the
28
quality
of
another
appraiser’s
work
product
prepared
as
part
29
of
an
appraisal
assignment,
but
not
including
quality
control
30
solely
to
assure
an
appraisal
report
is
complete,
or
to
correct
31
certain
errors.
32
The
bill
modifies
the
definition
of
“review
appraiser”
33
by
providing
that
a
“review
appraiser”
is
a
person
who
is
34
responsible
for
conducting
an
appraisal
review,
but
does
not
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include
a
person
who
performs
quality
control.
1
Current
law
provides
that
the
term
“certified
real
2
estate
appraiser”
shall
only
refer
to
individuals
who
hold
a
3
certificate
pursuant
to
Code
chapter
543D.
The
bill
provides
4
that
such
term,
as
well
as
“associate
real
estate
appraiser”
5
and
any
other
like
title
or
term,
including
a
title
or
term
6
that
suggests
an
individual
is
licensed
or
certified
under
the
7
laws
of
another
state,
shall
only
refer
to
individuals
who
8
hold
a
certificate
or
registration
under
Code
chapter
543D,
as
9
applicable,
or
who
are
exercising
a
valid
practice
privilege
10
pursuant
to
the
bill.
11
The
bill
authorizes
a
person
whose
principal
place
of
12
business
is
not
in
Iowa
to
perform
appraisal
assignments
on
13
real
estate
located
in
Iowa
without
certification
under
Code
14
chapter
543D
or
notice
to
the
board,
under
the
following
15
conditions:
the
person
must
hold
a
valid,
unexpired
license
16
or
certificate
in
good
standing
in
another
state
that
is
17
substantially
equivalent
to
a
certificate
issued
in
Iowa,
18
as
provided
by
rules,
and
such
person
must
be
licensed
or
19
certified
to
lawfully
perform
in
the
person’s
principal
place
20
of
business
all
appraisal
services
offered
or
rendered
under
21
a
practice
privilege
in
Iowa;
the
person
must
not
hold
a
22
lapsed
Iowa
certificate,
have
been
subject
to
discipline
or
23
denial
of
licensure
or
certification
in
any
jurisdiction,
have
24
previously
surrendered
or
otherwise
held
an
Iowa
certificate
25
that
is
no
longer
valid,
or
have
been
convicted
of
a
crime
26
which
is
substantially
related
to
the
functions
of
a
person
27
performing
appraisal
assignments;
the
person
shall
comply
28
with
Code
chapter
543D
and
any
board
rules,
including
uniform
29
appraisal
standards
adopted
by
the
board;
the
person
shall
not
30
use
the
title
or
term
“Iowa
certified
real
estate
appraiser”
31
or
any
other
like
title
or
term,
but
may
use
the
title
or
term
32
“certified
real
estate
appraiser”
to
the
extent
that
the
person
33
also
identifies
the
state
of
the
person’s
principal
place
of
34
business
in
connection
with
such
use;
and
the
person,
upon
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request
from
a
client
or
prospective
client,
shall
provide
1
accurate
information
regarding
licensure
or
certification
2
status.
3
The
bill
provides
that,
as
a
condition
for
exercising
a
4
practice
privilege,
a
person
shall
consent
to
the
regulatory
5
authority
of
the
board,
appoint
the
regulatory
body
of
the
6
issuing
state
as
the
agent
upon
whom
process
may
be
served
in
7
any
action
or
proceeding
by
the
board,
and
agree
to
supply
the
8
board
upon
request
and
without
subpoena
any
information
or
9
records
as
licensees
are
similarly
required
to
provide
to
the
10
board
under
Code
chapter
543D.
11
The
bill
provides
that
the
practice
privilege
is
temporary
12
and
shall
cease
if
the
license
or
certificate
in
the
person’s
13
principal
place
of
business
expires,
is
no
longer
valid
or
in
14
good
standing,
or
otherwise
no
longer
lawfully
supports
the
15
conditions
of
the
practice
privilege
described
in
the
bill.
16
The
bill
provides
that
the
board
may
revoke
a
practice
17
privilege,
impose
a
civil
penalty
in
an
amount
up
to
$1,000
18
in
accordance
with
Code
section
543D.21,
issue
an
order
for
19
compliance,
or
take
any
other
action
as
provided
in
Code
20
chapter
543D
if
a
person
acting
or
purporting
to
act
under
21
a
practice
privilege
violates
Code
chapter
543D
or
any
board
22
rules.
The
board
may
also
refer
a
complaint
to
any
applicable
23
state
regulatory
body.
24
The
bill
provides
that
a
violation
of
Code
chapter
543D
or
25
board
rules,
including
any
uniform
appraisal
standards
adopted
26
by
the
board,
by
a
person
acting
or
purporting
to
act
under
a
27
practice
privilege,
is
grounds
to
deny
such
person’s
subsequent
28
application
for
certification
under
Code
chapter
543D.
29
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